Intuitive Surgical (ISRG) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue rose 19% year-over-year to $2.89 billion, driven by strong growth in da Vinci and Ion procedures and system placements.

• Worldwide procedures grew 16% year-over-year, with da Vinci procedures up 15% and Ion procedures up 36%.

• The installed base reached 11,710 da Vinci systems and 1,096 Ion systems, reflecting 12% and 21% growth, respectively.

• 468 da Vinci and 55 Ion systems were placed in Q2 2026, with da Vinci 5 and XiR platforms seeing strong adoption.

• GAAP net income was $818 million ($2.29 per diluted share), and non-GAAP net income reached $1.00 billion ($2.80 per share).

Financial highlights

• Q2 2026 revenue reached $2.89 billion, up 19% year-over-year; recurring revenue accounted for 85% of total revenue.

• Non-GAAP gross margin was 70.0%; GAAP gross margin was 67.8%.

• Non-GAAP EPS was $2.80; GAAP EPS was $2.29.

• Non-GAAP operating margin was 42%; GAAP operating margin was 33.6%.

• Free cash flow for the first half of 2026 was $1.8 billion, up 71% year-over-year.

Outlook and guidance

• 2026 da Vinci procedure growth forecast maintained at 13.5%-15.5%, expecting to be near the midpoint.

• Non-GAAP gross profit margin guidance raised to 68%-69% of revenue.

• Non-GAAP operating expense growth expected between 11%-13%; R&D to outpace SG&A.

• Non-cash stock compensation expense estimated at $880-$900 million; other income forecast at $315-$335 million.

• Management expects continued investment in R&D and commercial infrastructure to support growth.